Tuesday, July 19, 2011

Customer wants to pay via bank draft and put both my business name & my banks name as payee?

I am selling a business asset to a person in another province. I requested a certified cheque. They have come back with offering a bank draft but their bank recommended that the payee be both my business name & my bank's name to ensure there are no liens on the asset. I own the asset outright so there are no liens. I have never heard of this practice. Am I going to have any issues depositing & cashing the bank draft? Is there another way to assure the customer their is no lien on the asset? Also is there a way to confirm the bank draft is legit before I release the asset?

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